Cruise insurance amount if using FCC question

[PSR]

Has anyone used Future Cruise Credits to book a cruise and decided to purchase 3rd party insurance? Do you insure just the amount that you pay in cash vs. the total amount if the FCC is refundable? For example, if the cruise is $3000pp did you just insure say $1500pp if the FCC is worth $1500pp, or the whole $3000? On the other hand, if you used HAL insurance to get the Cancel for any reason feature, was their insurance cost only for the amount you pay in cash ($1500) or a higher charge based on the whole $3000? I am wondering because I have not yet applied our FCC to our next booked cruise and the quote for the HAL insurance is quite high, but the cash price for the cruise will only be about 20% of the full fare. The FCC is supposedly refundable if the cruise is cancelled. Hope this question is not too confusing!

Edited March 27, 2022 by PSR

[PSR]

My question just got answered-kind of-by HAL. They automatically applied my FCC to my next cruise and when I checked the cost of the HAL insurance, it is for the FULL amount of our fares, not the amount LESS the FCC, so you DO have to pay insurance for the FCC amounts. Oh well.....😒. Everyone can ignore my question, please.

[REOVA]

I just asked this question to Steve, the insurance guy. My case may be different as I received 1/2 cash refund and 1/2  FCC on a cruise stopped midway. His response was since I received cash for the cancelled part of the cruise, the FCC was a bonus and not insurable so only cash cost of future cruise is insured. I assume you received FCC for a cruise that didn't begin, instead of a refund so maybe your FCC would be insurable (but if you had paid insurance premium on the cancelled cruise, you should be to apply prior premium to future cruise. (?))

[PSR]

Thank you. The FCC was for a cruise that we were denied boarding due to a positive dockside COVID test that later we found out was actually negative (long story, don't ask...). My husband thinks we should've received a cash refund for the error, but it is hard to deal with HAL without assistance. We did not have HAL insurance for that cruise. Anyway, we may just insure the cash part of the next cruise with a third party even though it is minimal amount, to get the evacuation coverage we like to have.

 

[Caribbean Chris]

I think you are planning correctly to only insure the cash outlay you’ll make.

 

We had non-Hal trip cancellation, med, & evac insurance on a Hawaii cruise that we had to cancel in January due to a death in the family. Way back when we booked to replace our pandemic-cancelled cruise, this question you posed didn’t occur to us, and we insured to cover the full cost.

Our cruise payment made was in the form of 2/3rds FCC, 1/3rd cash. Ultimately (long story) HAL reinstated the FCC, thanks to efforts on our behalf by our TA. Our insurance payout was only for the extra cash amount we had paid, 1/3rd, not the entire amount. The insurance form has a line where you have to indicate any future travel credits received.

So we are in the same situation now as you are, with another trip to insure. The HAL (and other policies) “cancel for any reason” feature is expensive but does give you more flexibility. I think it will be worth calling a non-HAL insurer to ask the cost of cancel for any reason coverage for just the cash amount we have to add to the FCC, and still get coverage for other comprehensive features like trip evac etc. 

 

 

Edited March 28, 2022 by Caribbean Chris

[HAL4NOW]

3 hours ago, PSR said:

Anyway, we may just insure the cash part of the next cruise with a third party even though it is minimal amount, to get the evacuation coverage we like to have.

@Caribbean Chris has a good point about the cancel for any reason insurance.

Also, if all you need is evacuation coverage, that is available as a stand-alone product. The one we have is not exactly insurance, but we can get full reimbursement for any necessary medical evacuation (including sending the remains home upon death). Depending on age, you can get memberships that are valid for life for a lump sum, or you can pay monthly yearly for coverage.

[RuthC]

7 hours ago, PSR said:

Anyway, we may just insure the cash part of the next cruise with a third party even though it is minimal amount, to get the evacuation coverage we like to have.

I agree with HAL4NOW that if all you want is evacuation coverage, then you can purchase that insurance by itself, or with medical coverage, too. I purchase that when I travel, as I am willing to accept the cost of the trip, interruptions, etc. 

You can call Insure My Trip, and I presume other insurance companies, and speak to them about what coverage is available that meets your needs on this particular trip. They are very helpful and knowledgeable.  

[PSR]

13 hours ago, Caribbean Chris said:

I think it will be worth calling a non-HAL insurer to ask the cost of cancel for any reason coverage for just the cash amount we have to add to the FCC, and still get coverage for other comprehensive features like trip evac etc. 

 

Good idea, but most CFAR insurance I am aware of has to be purchased within 10-14 days of original booking, and that was 6/10/21 for this cruise...

[PSR]

11 hours ago, HAL4NOW said:

@Caribbean Chris has a good point about the cancel for any reason insurance.

Also, if all you need is evacuation coverage, that is available as a stand-alone product. The one we have is not exactly insurance, but we can get full reimbursement for any necessary medical evacuation (including sending the remains home upon death). Depending on age, you can get memberships that are valid for life for a lump sum, or you can pay monthly yearly for coverage.

 

If you are talking about Medjet, I have looked into that several times in the past, but ended up getting regular cruise insurance instead. Now, we have reached the age that we need a doctor's health statement to purchase it, so we probably wouldn't qualify (not really sure of the requirements, though). Would be interested if you are aware of any other 3rd party evacuation insurance, though.

[HAL4NOW]

7 minutes ago, PSR said:

 

If you are talking about Medjet, I have looked into that several times in the past, but ended up getting regular cruise insurance instead. Now, we have reached the age that we need a doctor's health statement to purchase it, so we probably wouldn't qualify (not really sure of the requirements, though). Would be interested if you are aware of any other 3rd party evacuation insurance, though.

Medical Air Services Association (MASA) Medical Transport Solutions (MTS) is not exactly insurance, but you would be covered for both ground transport and emergency air transport. They can help arrange these services if needed. At a certain age you can get a lifetime membership for a lump sum.

Thankfully, we have never had to use it, but we have talked with people that did and were satisfied with the service. They offer a number of plans and pricing options.

[REOVA]

1 hour ago, PSR said:

 

Good idea, but most CFAR insurance I am aware of has to be purchased within 10-14 days of original booking, and that was 6/10/21 for this cruise...

Not sure that's correct. For pre-existing conditions it may be true but you should be able to buy CFAR later. Send an email to Steve (you can find his Q&A and contact at the top of the main CC Board). I am waiting until final payment date to buy CFAR for just the cash portion which is a few hundred instead of thousands in premium. Hope that helps. 

[PSR]

Well, late yesterday I was reading the "Terms and Conditions" for HAL FCC and it appears that if you cancel, the FCC will be subject to cancellation penalties?? Now, maybe this is if you don't have a HAL policy, but the description was kind of vague about the whole thing. In fact, I think it actually said "the FCC may be subject..." to penalties. Now I'm really confused. Of course, all the FLEXIBLE and COVID cancellation policies also confuse the issue. Thank goodness our final payment is not until June; maybe I can figure it out by then.